The total US national debt recently exceeded $40 trillion for the first time, a figure that has more than doubled under the Trump and Biden administrations. This significant milestone has prompted warnings of a looming fiscal crisis, as the escalating costs of social safety-net programs and interest payments on the debt are far outpacing government revenues, which have been constrained by tax cuts.
During former President Trump's two terms, the national debt increased by $11.6 trillion. Under President Biden's four-year term, it rose by $8.4 trillion. Analysts and organizations like the Committee for a Responsible Federal Budget (CRFB) are urging Congress to take immediate action, suggesting commitments to zero new borrowing and the establishment of a bipartisan fiscal commission to address the issue. The interest payments on the nation's debt are already greater than what is spent on national defense or Medicare, and the debt is projected to reach $50 trillion in just a few years, causing major issues in the bond market.
Lawmakers face the difficult choice of making tough decisions now to adjust spending and revenues or confronting even more painful options with fewer alternatives later. Both Democrats and Republicans have proposed ideas to tackle the rising debt but have been reluctant to make politically unpopular trade-offs, such as cutting popular programs or raising taxes, due to fear of voter backlash. While most Americans acknowledge the national deficit as a problem, it does not rank as a top priority when deciding who to vote for, and they remain divided on the best approach to reduction, particularly opposing cuts to entitlement programs like Social Security and Medicare.
